Saga Communications Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Saga Communications Inc. has filed its annual 10-K report for the fiscal year 2023, detailing its financial performance and corporate structure.</b>

AI Summary

SAGA COMMUNICATIONS INC (SGA) filed a Annual Report (10-K) with the SEC on March 15, 2024. Saga Communications Inc. filed its 10-K report for the fiscal year ending December 31, 2023. The filing covers the period from January 1, 2023, to December 31, 2023. The company's principal executive offices are located at 73 Kercheval Ave, Grosse Pointe Farms, MI 48236. Saga Communications Inc. is classified under Standard Industrial Classification code 4832 for Radio Broadcasting Stations. The filing includes details on various stock and equity transactions, including treasury stock, retained earnings, and additional paid-in capital for multiple fiscal years.

Why It Matters

For investors and stakeholders tracking SAGA COMMUNICATIONS INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Saga Communications Inc.'s financial health and operational status for the fiscal year 2023, which is crucial for investors to assess the company's performance and future prospects. The detailed breakdown of revenue segments, including broadcast and digital advertising, allows stakeholders to understand the company's revenue streams and their respective contributions, highlighting potential growth areas or challenges.

Risk Assessment

Risk Level: medium — SAGA COMMUNICATIONS INC shows moderate risk based on this filing. The company operates in the radio broadcasting industry, which is subject to regulatory changes and evolving advertising market dynamics, as indicated by its SIC code and the mention of various revenue streams.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to understand Saga Communications Inc.'s performance and strategic positioning in the media landscape.

Revenue Breakdown

Key Numbers

• 20231231 — Fiscal Year End (CONFORMED PERIOD OF REPORT)
• 20240315 — Filing Date (FILED AS OF DATE)
• 89 — Public Document Count (PUBLIC DOCUMENT COUNT)
• 001-11588 — SEC File Number (SEC FILE NUMBER)

Key Players & Entities

• SAGA COMMUNICATIONS INC (company) — FILER
• 0000886136 (company) — CENTRAL INDEX KEY
• 4832 (company) — STANDARD INDUSTRIAL CLASSIFICATION
• FL (company) — STATE OF INCORPORATION
• MI (company) — BUSINESS ADDRESS STATE
• 3138867070 (company) — BUSINESS PHONE
• MI (company) — MAIL ADDRESS STATE
• 24755254 (company) — FILM NUMBER

FAQ

Risk Factors

• Regulatory Compliance [medium — regulatory]: The company must comply with FCC regulations and other applicable laws, which can impact operations and require ongoing adherence.
• Advertising Market Fluctuations [medium — market]: Revenue is dependent on advertising sales, which can be affected by economic conditions and shifts in advertising spending across different media platforms.
• Operational Dependencies [medium — operational]: The company's success relies on the effective operation of its broadcasting facilities and the ability to attract and retain listeners and advertisers.

Key Financial Figures

• $108,509,000 — hin a particular market. Approximately $108,509,000 or 90% of our gross revenue for the yea
• $108,999,000 — ended December 31, 2023 (approximately $108,999,000 or 89% in fiscal 2022 and approximately
• $102,367,000 — or 89% in fiscal 2022 and approximately $102,367,000 or 89% in fiscal 2021) was generated fr
• $11,880,000 — tising in fiscal 2023 was approximately $11,880,000 or 10% of our gross revenue (approximat
• $13,657,000 — 10% of our gross revenue (approximately $13,657,000 or 11% in fiscal 2022 and approximately
• $13,138,000 — or 11% in fiscal 2022 and approximately $13,138,000 or 11% in fiscal 2021). Gross national

Filing Documents

• sga-20231231x10k.htm (10-K) — 2540KB
• sga-20231231xex21.htm (EX-21) — 25KB
• sga-20231231xex23.htm (EX-23) — 7KB
• sga-20231231xex31d1.htm (EX-31.1) — 11KB
• sga-20231231xex31d2.htm (EX-31.2) — 11KB
• sga-20231231xex32.htm (EX-32) — 7KB
• sga-20231231xex97d1.htm (EX-97.1) — 39KB
• 0001558370-24-003419.txt (&nbsp;) — 10588KB
• sga-20231231.xsd (EX-101.SCH) — 59KB
• sga-20231231_cal.xml (EX-101.CAL) — 61KB
• sga-20231231_def.xml (EX-101.DEF) — 241KB
• sga-20231231_lab.xml (EX-101.LAB) — 560KB
• sga-20231231_pre.xml (EX-101.PRE) — 433KB
• sga-20231231x10k_htm.xml (XML) — 1998KB

Business

Business 4 Item 1A.

Risk Factors

Risk Factors 23 Item 1B. Unresolved Staff Comments 30 Item 1C. Cybersecurity 31 Item 2.

Properties

Properties 32 Item 3.

Legal Proceedings

Legal Proceedings 32 Item 4. Mine Safety Disclosures 32 PART II Item 5. Market for Registrant's Common Equity, Related Shareholder Matters and Issuer Purchases of Equity Securities 32 Item 6. [ Reserved ] 33 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 34 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 45 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 45 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 45 Item 9A.

Controls and Procedures

Controls and Procedures 46 Item 9B. Other Information 48 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspection 48 PART III Item 10. Directors, Executive Officers and Corporate Governance 48 Item 11.

Executive Compensation

Executive Compensation 48 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Shareholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Shareholder Matters 48 Item 13. Certain Relationships and Related Transactions, and Director Independence 48 Item 14. Principal Accountant Fees and Services 48 PART IV Item 15. Exhibits and Financial Statement Schedules 49

Signatures

Signatures 88 2 Table of Contents

Forward-Looking Statements

Forward-Looking Statements

Business

Item 1. Business We are a media company primarily engaged in acquiring, developing and operating broadcast properties including opportunities complimentary to our core radio business including digital, e-commerce and non-traditional revenue initiatives. As of February 29, 2024, we owned seventy-nine FM, thirty-three AM radio stations and eighty metro signals serving twenty-seven markets. Our principal executive offices are located at 73 Kercheval, Grosse Pointe Farms, Michigan 48236. We are a Florida corporation, reorganized in 2020. We were originally organized as a Delaware corporation in 1986. During 2022, our founder and former Chief Executive Officer ("CEO"), Edward K. Christian passed away. As of the date of his passing, Mr. Christian held approximately 65% of the combined voting power of the Company's Common Stock. His passing resulted in the conversion of his Class B Shares into Class A Shares that were transferred to an estate planning trust that now owns approximately 16% of the common stock outstanding. We were also required to make certain payments to his estate as outlined in his employment agreement. Strategy Our strategy is to operate top billing radio stations, including opportunities complimentary to our core radio business including digital, e-commerce and non-traditional revenue initiatives, in mid-sized markets, which we define as markets ranked from 20 to 200 out of the markets summarized by Investing in Radio Market Report. Local programming and marketing are key components in our strategy to achieve top ratings in our radio operations. In many of our markets, the three or four most highly rated radio stations receive a disproportionately high share of the market's advertising revenues. As a result, a station's revenue is dependent upon its ability to maximize its number of listeners within an advertiser's given demographic parameters. In certain cases we use attributes other than specific market listener data for sales activities. We a

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View this 10-K filing on SEC EDGAR